What is an Income Statement? — Revenue, expenses, profit

The income statement (P&L) is a financial report showing the business's revenue and expenses for a period (usually a year). The difference is net profit or loss.

Definition

The income statement (P&L) is a financial report showing the business's revenue and expenses for a period (usually a year). The difference is net profit or loss.

Details

Structure: Sales revenue − Cost of goods sold = Gross profit − Operating expenses = Operating profit − Taxes = Net profit. Filed annually to the Central Registry together with the balance sheet.

Example

Annual P&L: Revenue 6M MKD − Expenses 4.5M MKD = Profit 1.5M MKD − Tax 10% (150K) = Net profit 1.35M MKD.

All Terms

Questions about Income Statement (P&L)

What is Income Statement (P&L)?+
The income statement (P&L) is a financial report showing the business's revenue and expenses for a period (usually a year). The difference is net profit or loss.
How does Income Statement (P&L) affect e-Faktura?+
Structure: Sales revenue − Cost of goods sold = Gross profit − Operating expenses = Operating profit − Taxes = Net profit. Filed annually to the Central Registry together with the balance sheet.

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